Calif. sues Uber, Lyft over misclassifying drivers

(Reuters) — California's attorney general on Tuesday sued Uber Technologies Inc. and Lyft Inc. for classifying its drivers improperly as independent contractors instead of employees, evading workplace protections and withholding worker benefits.

Several California cities joined the state in its lawsuit, saying the companies' misclassification harms workers, law-abiding businesses, taxpayers and society more broadly.